2. Credit-Card Payment Insurance

The pitch: Pay a monthly fee — often tied to the amount of your outstanding balance — and the credit card company will make payments for you if you lose your job, become sick or disabled.

The truth: This “protection” can cost a few hundred bucks a year, and there are often so many restrictions and caveats on coverage that you won’t see a dime. Even if your claim is accepted, the insurance only pays the monthly minimum for a period of months. If you have an outstanding balance, you’re better off putting that money toward paying down the principal. Capital One even settled a class-action lawsuit over its insurance plan.